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Australian (ASX) Banks Industry Analysis

UpdatedDec 15, 2025
DataAggregated Company Financials
Companies13
  • 7D1.7%
  • 3M-2.9%
  • 1Y8.7%
  • YTD10.5%

The Banks industry is up 1.7% in the last week, with National Australia Bank up 3.9%. This means that the industry has gained 8.7% over the past year. Looking forward, earnings are forecast to grow by 5.2% annually.

Industry Valuation and Performance

Has the Australian Banks Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 16 Dec 2025AU$647.2bAU$96.7bAU$30.3b19.1x21.4x6.7x
Thu, 13 Nov 2025AU$664.4bAU$96.8bAU$30.3b19.4x21.9x6.9x
Sat, 11 Oct 2025AU$672.6bAU$95.6bAU$31.7b15.5x21.2x7x
Mon, 08 Sep 2025AU$661.1bAU$95.6bAU$31.7b14.8x20.8x6.9x
Wed, 06 Aug 2025AU$640.8bAU$94.6bAU$31.8b14.7x20.2x6.8x
Fri, 04 Jul 2025AU$642.2bAU$94.6bAU$31.8b14.9x20.2x6.8x
Sun, 01 Jun 2025AU$625.8bAU$94.6bAU$31.8b14.1x19.7x6.6x
Tue, 29 Apr 2025AU$596.3bAU$93.2bAU$31.7b13.3x18.8x6.4x
Thu, 27 Mar 2025AU$559.3bAU$93.3bAU$31.7b12.6x17.6x6x
Sat, 22 Feb 2025AU$570.2bAU$93.2bAU$31.7b13.1x18x6.1x
Mon, 20 Jan 2025AU$589.3bAU$92.5bAU$31.4b13.7x18.7x6.4x
Wed, 18 Dec 2024AU$604.4bAU$92.5bAU$31.4b13.7x19.2x6.5x
Fri, 15 Nov 2024AU$588.0bAU$92.5bAU$31.4b13.1x18.7x6.4x
Sun, 13 Oct 2024AU$553.9bAU$91.8bAU$31.5b12.1x17.6x6x
Tue, 10 Sep 2024AU$579.3bAU$91.9bAU$31.6b12.5x18.4x6.3x
Thu, 08 Aug 2024AU$512.9bAU$91.7bAU$31.6b11x16.2x5.6x
Sat, 06 Jul 2024AU$517.5bAU$91.7bAU$31.6b10.7x16.4x5.6x
Mon, 03 Jun 2024AU$495.0bAU$91.7bAU$31.8b10.5x15.6x5.4x
Wed, 01 May 2024AU$485.5bAU$81.6bAU$28.7b11x16.9x6x
Fri, 29 Mar 2024AU$502.3bAU$92.5bAU$32.7b11x15.3x5.4x
Sun, 25 Feb 2024AU$487.3bAU$92.5bAU$32.7b10.5x14.9x5.3x
Tue, 23 Jan 2024AU$466.0bAU$92.8bAU$33.2b8.2x14x5x
Thu, 21 Dec 2023AU$452.1bAU$92.8bAU$33.2b8x13.6x4.9x
Sat, 18 Nov 2023AU$416.8bAU$92.8bAU$33.2b7.9x12.6x4.5x
Mon, 16 Oct 2023AU$425.9bAU$91.0bAU$32.5b8x13.1x4.7x
Wed, 13 Sep 2023AU$426.8bAU$91.0bAU$32.6b8.2x13.1x4.7x
Fri, 11 Aug 2023AU$432.5bAU$90.8bAU$32.5b8.4x13.3x4.8x
Sun, 09 Jul 2023AU$401.5bAU$91.0bAU$32.4b8.3x12.4x4.4x
Tue, 06 Jun 2023AU$400.4bAU$91.0bAU$32.4b8.2x12.4x4.4x
Thu, 04 May 2023AU$417.8bAU$89.2bAU$31.3b8.2x13.4x4.7x
Sat, 01 Apr 2023AU$410.9bAU$89.2bAU$31.5b9.7x13.1x4.6x
Mon, 27 Feb 2023AU$432.3bAU$88.9bAU$31.4b10.9x13.8x4.9x
Wed, 25 Jan 2023AU$451.6bAU$87.5bAU$30.9b10.5x14.6x5.2x
Fri, 23 Dec 2022AU$442.1bAU$87.6bAU$30.9b10.3x14.3x5x
Price to Earnings Ratio

14.3x


Total Market Cap: AU$442.1bTotal Earnings: AU$30.9bTotal Revenue: AU$87.6bTotal Market Cap vs Earnings and Revenue0%0%0%
Australian Banks Industry Price to Earnings3Y Average 16.5x202320242025
Current Industry PE
  • Investors are optimistic on the Australian Banks industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 21.4x which is higher than its 3-year average PE of 16.5x.
  • The 3-year average PS ratio of 5.7x is lower than the industry's current PS ratio of 6.7x.
Past Earnings Growth
  • The earnings for companies in the Banks industry have remained mostly flat over the last three years.
  • Meanwhile revenues for these companies have grown 3.4% per year.
  • This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased and as a result, profits have held steady.

Industry Trends

Which industries have driven the changes within the Australian Financials industry?

AU Market0.56%
Financials1.63%
Banks1.71%
Diversified Banks1.72%
Regional Banks1.10%
Industry PE
  • Investors are most optimistic about the Regional Banks industry which is trading above its 3-year average PE ratio of 23.3x.
    • Analysts are expecting annual earnings growth of 24.6%, which is higher than its past year's earnings decline of 20.5% per year.
  • Investors are most pessimistic about the Diversified Banks industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 16.5x.
Forecasted Growth
  • Analysts are most optimistic on the Regional Banks industry, expecting annual earnings growth of 25% over the next 5 years.
  • This is better than its past earnings decline of 21% per year.
  • In contrast, the Diversified Banks industry is expected to see its earnings grow by 4.8% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
NAB National Australia BankAU$42.203.9%
+AU$4.9b		12.1%PB2x
ANZ ANZ Group HoldingsAU$36.243.3%
+AU$3.5b		24.2%PB1.5x
WBC Westpac BankingAU$38.891.7%
+AU$2.2b		20.0%PB1.8x
BFL BSP Financial GroupAU$8.081.4%
+AU$51.4m		24.3%PB2.2x
BOQ Bank of QueenslandAU$6.480.8%
+AU$32.9m		-3.6%PB0.7x

Latest News

ANZ
AU$36.24
ANZ Group Holdings
7D
3.3%
1Y
24.2%

ANZ: Cost Discipline And Capital Returns Will Support Resilient Future Performance

Analysts have modestly increased their price target for ANZ Group Holdings by approximately $0.07, citing slightly stronger long term revenue growth expectations and a marginally lower discount rate that more than offset a flat profit margin outlook and only a small uptick in the assumed future P/E multiple. Analyst Commentary Street research sentiment around ANZ Group Holdings appears cautiously constructive, with recent valuation tweaks reflecting a balance between supportive macro trends and pockets of execution risk.
CBA
AU$155.08
Commonwealth Bank of Australia
7D
-0.2%
1Y
-2.2%

CBA: Premium Pricing And Digital Execution Will Drive Future Return Profile

Analysts have modestly lowered their price target for Commonwealth Bank of Australia to A$146.00, reflecting slightly softer long term revenue growth assumptions, a marginally reduced discount rate, and a small upgrade to forecast profit margins and future earnings multiples. Analyst Commentary Bullish analysts view the modest trim to the A$146.00 price target as a recalibration rather than a reversal, arguing that Commonwealth Bank of Australia continues to justify a premium valuation versus domestic peers.
WBC
AU$38.89
Westpac Banking
7D
1.7%
1Y
20.0%
NAB
AU$42.20
National Australia Bank
7D
3.9%
1Y
12.1%

NAB: Prospective HSBC Deal And Governance Reforms Will Shape Future Performance

Analysts have nudged their price target for National Australia Bank slightly higher to reflect a modest uptick in expected revenue growth and a marginally lower discount rate, while acknowledging a small softening in forecast profit margins and a slightly richer future price to earnings multiple. What's in the News NAB is reportedly the leading contender to buy HSBC's Australian business, but is primarily interested in the retail banking operations.
BOQ
AU$6.48
Bank of Queensland
7D
0.8%
1Y
-3.6%
JDO
AU$1.72
Judo Capital Holdings
7D
0.3%
1Y
-7.5%
BFL
AU$8.08
BSP Financial Group
7D
1.4%
1Y
24.3%
MYS
AU$4.55
MyState
7D
2.0%
1Y
11.2%